Hong Kong listed company Chinese Estates has acquired 11/12 St James’s Square for £175m, reflecting a net initial yield of 4.45%.
The 80,000 sq ft building was sold by Savills Investment Management on behalf of Malaysian fund, the Employees Provident Fund (EPF). CBRE advised Chinese Estates whilst Savills acted for Savills IM.
The office building, which is multi-let to several tenants, including Blackstone and Marble Bar Asset Management, is the third building on the square to be sold this year.
This follows the sale of 8 St James’s Square in January for £213m and separately, the sale of 3 St James’s Square for £135m last month. All three buildings have been bought by Hong Kong based investors.
James Rood, senior director of Central London investment at CBRE, said: “We are delighted to have acquired 11/12 St James’s Square on behalf of Chinese Estates following a competitive bidding process.
“It will be a fantastic addition to their portfolio and is another example of the strength of appetite and commitment from overseas capital, particularly from Asia, for prime London real estate.”
11/12 St James’s Square represents the fourth significant acquisition Chinese Estates has made in London in the past two years and adds to their portfolio of prime Central London assets.
BQ’s commercial property updates are supported by specialist lender Together, which provides funding to businesses and property investors nationwide. With over forty years’ experience in the financial services industry, Together offers short-term finance, auction finance, buy-to-let, residential and commercial mortgages and secured loans.
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